1. Which of the following is not true regarding the analysis of receivables method of determining an A/R allowance?

A. The method involves judgment in determining appropriate percentages for each aging category.

B. The method is the easiest and fastest approach for determining an appropriate allowance.

C. The method results in an adjustment to bring the current Allowance up to the calculated balance.

D. The method is based on an aging of customers' accounts receivable balances.